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Colorado Springs Utilities Pilot Project Proposal <br />November 16, 2018 <br />Page 8 <br /> <br />than one ditch if the proposal is for a unified pilot project. The CS-U Pilot Project is intended to be a <br />unified pilot project to provide a significant amount of water for temporary municipal use while <br />providing the maximum a mount of flexibility to the ditch companies and irrigators. The purpose of the <br />CS-U Pilot Project is to demonstrate the efficacy of a large-scale fallowing-leasing project, not to <br />circumvent the limitation of the number of pilot projects that may be authorized. <br />It is anticipated that the CS-U Pilot Project can be implemented using existing infrastructure. <br />However, Applicants may investigate the construction of additional recharge facilities in order to <br />maximize the operational flexibility of the CS-U Pilot Project. Moreover, it is possible that during the <br />10-year term of the CS-U Pilot Project, additional facilities would be constructed that may be useful in <br />project operations. <br />IV. Necessary Approvals and Agreements (Criteria and Guidelines § II.F.3) <br />If approved by the CWCB for operation, the CS-U Pilot Project will require certain other <br />approvals and agreements. Representatives of Super Ditch have met with and discussed the proposed <br />CS-U Pilot Project with representatives for CS-U, the participating farmers, and the Catlin, Fort Lyon, <br />and High Line boards of directors. Based on these discussions, Super Ditch believes that all of the <br />agreements and approvals that may be necessary to operate the CS -U Pilot Project can be reasonably <br />obtained. See Super Ditch Resolution. Applicant currently anticipates the following agreements would <br />be necessary for operation of the CS -U Pilot Project, some of which are already in place: <br />1. Lease Agreement or other appropriate agreement between Super Ditch and CS-U. CS -U <br />has executed a long-term water lease agreement with Super Ditch, attached as Exhibit A. <br /> <br />2. Lease Agreements or other appropriate agreements between Super Ditch and Catlin, Fort <br />Lyon, and High Line. Super Ditch has met with the boards of each of the canal companies <br />to discuss the terms of such agreement. Catlin has executed a resolution indicated its intent <br />to work with its shareholders and participate in this project , attached as Exhibit B. Fort <br />Lyon and High Line have each executed letters of intent to obtain approval from their <br />respective shareholders to participate in this project , attached as Exhibits D and F. <br /> <br />3. Lease Agreements or other appropriate agreements between Catlin, Fort Lyon, and High <br />Line and each participating farmer. Super Ditch and the canal company boards have met <br />with potential participating farmers to discuss the terms of such agreement. Catlin has <br />obtained letters of interest from the participating farmers attached as Exhibi t I. Fort Lyon <br />and High Line will present the contract with Super Ditch to their shareholders in December <br />and will subsequently obtain firm contracts with interested shareholders. <br /> <br />4. Catlin Canal Company Board approval of use of Catlin Canal facilities (ditch, laterals, and <br />augmentation station) and carriage of non-Catlin water to recharge facilities. The Catlin